2.

Criteria for switch

Agenda
Criteria for category switch
Criteria for brand switch
Case Study - Revital

OTC perspective

OTC / OTC
OTC / Ethical
Ethical / OTC

Ethical / Ethical

Market structure

OTC / OTC

OTC / Ethical

Calpol

Ethical / OTC

Vicks, Tylenol

Ibuprofen, H2RAs

Ethical / Ethical

Cephalosporin, Anti-diabetics
4

Choice criteria

Category

Product

New brand

Brand switch

Criteria for success

1.

2.

Regulations

Non-schedule H, G & X

Should have OTC status

Self medication potential

3.

Consumers should ask for the product

Current market size

Should not be a small market

Should be large / good growth opportunity

6

Criteria for success

4.

5.

Future growth potential

1 customer who purchases 10 home remedy

1 on home remedy 10 not doing anything

Competition

Holistic not restricted to ORG / IMS

Competition could be 100 fold than evident

Bigger home remedy

Even bigger patient inertia

Criteria for success

6.

7.

Price control

Category cannot be in Price control / may go in future

Cannot support A & P

Distribution profile

Myth OTC is unprofitable / requires FMCG setup

What brand personality is desired

Choice to go through non-drug / drug outlets

Criteria for success

8.

Organisational capability

Resources

Skills
Marketing
Market research
Sales & Distribution

9.

Organisational portfolio fit

MNCs ( Med. Info / Clinical data )

Allopathic named under ayurvedic

10

Criteria for success

10. Technical & commercial

Effervescent / centre filled / pocket packs

Commercial viability / COGS

11. Culture & environment

Toothpaste vegetarian

Food products Green / brown circle

Tonics Haemoglobin blood derived

11

Agenda
Criteria for category switch
Criteria for brand switch
Case Study - Revital

12

Choice criteria

Category

Product

New brand

Brand switch

13

Criteria Brand switch / OTC

1.

Brand life cycle

2.

3.

BLC for new / launched 20 yrs back is different

Brand heritage

Consumer perception

Perception of youthful / elderly

Market share

1 % Market share OTC asking for trouble

Low market share lower profits

14

Criteria Brand switch

4.

5.

Mind share

How doctors / consumers will feel

Need to take calculated risks

Rx base / repeat purchase

No set criteria base on Rx base

25 75 % Rx : take the brand OTC ?

Solely a management decision

Switch can be for a high Rx product if potential

15

Criteria Brand switch

6.

7.

Profitability

Significantly higher spendings TV / Media

To sustain keep generating bottomline

Appetite for risk

Huge appetite for risk

Not for faint hearted / no lottery

Fight market after market

Concrete contingency plan in place

16

OTC is different from Rx

17

Agenda
Criteria for category switch
Criteria for brand switch
Case Study - Revital

18

Indian examples

#1 & only VMS supplement

19

Revital

Adult health supplement

Rx launch in 1990

Vitamins, minerals and ginseng

One of the top brands from the Ranbaxy

Successful transition from Rx to OTC market

Millions of people had already benefited from Rx

In 2002, almost 70% sales was OTx

20

Revital

Rides high on a positive health concept

Gives the user mental and physical vitality

Fits into the users hectic lifestyle

Energy, strength & mental sharpness

Enabling them to enjoy life to the fullest

Hence the brand punch line

Jiyo Jee Bhar Ke

Revital

The careful planning and implementation of the

marketing strategy

Three fold objective

Creating an appeal for the product

Moving away from its serious image

Rejuvenating sales for the product

22

Challenge

To craft an appeal, which would successfully

launch Revital in the OTC segment

Moving from a relatively serious image

Protect already huge base of loyal user

Energizing the sales curve with new regular users

23

Right timing
Ranbaxy entered the OTC segment with

Revital in October 2002 after carefully assessing

global trends and market potential

24

Research

Extensive market research

Understand consumers and doctors

Across urban and rural India

Reason

To augment insights

To execute a four-pronged switch strategy

Foraying into consumer needs through a wellthought television creative

25

The four-pronged strategy

1. Shift from a molecule to a consumer solution
2. Building emotional Assurance
3. Creating brand authority
4. Enhancing Accessibility

26

Strategy 1

Shift from a molecule to a consumer solution

Need gap analysis of the product presented

Ranbaxy with an unmet need of its target audience

Lifestyle is characterized by stress and fatigue

Revital was positioned as a solution that sustained

energy levels and promoting overall well-being

27

Strategy 2

Building emotional Assurance

Advertising to help consumers make informed

choice

Assurance based on educating and creating

relevance instead of making a blind choice based
on prescriptions

GREY devised 3 phases of advertising

28

Communication stages
Pre & post usage and
benefit scenario

Puppet portrayal of an
everyday man

Testimonials - A man & a

woman talk

First Phase

3 television commercials

Each sought to demonstrate

Pre & post usage and benefit scenario

Intake of Revital helped reduced all signs of

fatigue and weakness

30

Second Phase

Husmukhbhai campaign

Puppet portrayal of an everyday man

Able to make the most out of life

Even after a hectic day of work

His friends and colleagues are unable to

Husmukhbhai is a Revital user unlike others

31

Third & Phase

Testimonial creatives

A man & a woman talk

How their lives have been enriched with Revital's

regular intake

It has helped them remain active throughout the day

32

Strategy 3

Creating brand authority

This involved building channels of trust for Revital

Both professional as well as personal

Consumer contact program

Launched in 75 cities across India

Direct consumer promotion was done in anaaj

mandis, wholesale food markets, chemist outlets

Consumers were informed more about Revital and

its benefits as a daily health supplement
33

Strategy 4

Enhancing Accessibility

Accessible and available to the consumers

Distribution network was expanded

Both pharma and FMCG distributors

More chemists and select retail stores

Make it a part of the monthly grocery purchase

34

Communication stages
Pre & post usage and
benefit scenario
Puppet portrayal of an
everyday man

Testimonials - A man & a

woman talk
Celebrity Endorsement
Cricketer / Superstar

Endorsement

Cricketer

Yuvraj Singh

36

Photo on pack

37

Current Endorsement

38

Current Endorsement

Super Star

Salman Khan

39

Website

40

Revital Woman

41

Revital Senior

42

Revital Sales ( Cr )
Celebrity
Endorsements

280
240
200
Rx to
OTC

160
120

80

Launch

40

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